Do you hate invoicing?
You’re not alone. In fact, most business owners dread the process of sending out invoices and collecting payments from their clients. It can become extremely difficult to keep track of all your invoices and payments and that opens you up to errors or late payments.
But invoicing doesn’t have to be difficult.
Keep reading to discover 6 common mistakes with invoicing that can be easily avoided with some changes to your workflow and communication style.
1. Not Using a System
Before sending out invoices to customers, take a look at your invoice system in place. Is it easy to understand and use? Do you have the correct information available in the right places?
Without an organized invoice system, time can be wasted when looking for customer contact info or product pricing details. You may even miss important information on your invoices, making them inaccurate and creating more work.
2. Using an Outdated Invoice template
At times companies may find themselves stuck with old templates from previous software systems that no longer exist due to the company being bought out by another one or going out of business entirely. If this is the case, then file those templates away until a time where they will be useful again.
You don’t want to have customers thinking that you’re stuck in the past when invoicing them. If you have a printing company with old templates, it may be worth having the templates scanned into your computer so that they are no longer taking up space.
3. Using Incorrect or Missing Information on Your Invoice
Always double-check information before adding it to an invoice because once it’s printed, there is no changing it! Make sure everything is correct and spelled correctly including customer name/company name, customer address, product descriptions (including UPC codes), total amounts for each line item, taxes charged (if any), and payment terms.
Also, keep track of information like if the client has paid their balance in full or if they have made payments on it.
4. Not Using a Payment Terms Section
All businesses require payment terms and should use them to their advantage. If you’re using an invoice system, then add a payment terms section and details for invoices to the bottom of your invoices for clients to see when reviewing invoices before making payments.
This is important because certain credit card companies offer discounts that may be lost if the client doesn’t see this section on the invoice itself or is unsure of the payment terms.
You can make a customs invoice here.
5. Not Keeping Invoice Guidelines In Mind When Printing Your Invoices
When printing invoices, be sure that they are set to the correct size including paper width and height, length of ink/toner cartridges, etc. Also double-check paper amounts on each invoice you’re printing so that running out during a busy time isn’t an inconvenience for your business or clients.
6. Forgetting to Send Out Invoices On Time
Reminder notes should always be sent out with invoices so that your clients know when their invoices are due for payment in order for them to receive discounts offered by some credit card companies. If reminder notes are included on invoices when not in compliance with their company’s invoice terms and conditions.
Want More Help Avoiding the Common Mistakes With Invoicing?
With the help of these tips, we hope you’ll be able to avoid many common mistakes with invoicing and save yourself some time and money. If you would like more help with creating digital invoice backups, please visit our blog!
Laila Azzahra is a professional writer and blogger that loves to write about technology, business, entertainment, science, and health.